Perilous Decline In Scientific Research

August 20, 1992

Add the National Science Board, a nonpartisan advisory panel, to those blasting American industry's apathetic efforts in scientific re- search and development. American R & D, which was responsible for a vast range of products from nylon to the microchip, used to be the envy of the world.

The board, which is the policy-setting arm of the federal National Science Foundation, correctly blames industry for much of the problem. Among the criticisms:

Private research laboratories were underfunded during the corporate merger binge of the 1980s and the nation's prolonged economic slump, or were forced to work on short-term projects. Moreover, institutional investors and corporate leaders have been too focused on short-term investment returns. Many corporate managers don't understand research and development and won't include planning for scientific advances in their business strategies.

Japan, Germany, France, Italy, Sweden and Britain have all significantly increased their support of civilian research of late. U.S. government aid has been declining.

The board's solution: Change tax and other policies to promote research; shift federal R & D investments from the military to civilian projects and train corporate leaders to understand the necessity of research and development.

Without a quick turnaround, the competitive future of American industry could be grim